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McDonald's profit slips; US sales decline

Published on NewsOK Modified: July 22, 2014 at 11:41 am •  Published: July 22, 2014
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OAK BROOK, Ill. (AP) — McDonald's Corp. said its profit slipped in the second quarter as sales in the U.S. continued to flag.

The world's biggest hamburger chain has been struggling to boost sales in its flagship market amid intensifying competition, changing eating habits and the persistent financial struggles of its lower-income customers.

In the U.S., sales at established locations fell 1.5 percent for the period fewer customers came into its restaurants. The company, based in Oak Brook, Illinois, hasn't managed to raise the figure since October.

Executives say they're working to improve basics such as operational speed and service, but that they don't expect performance to change significantly in the near term.

CEO Don Thompson said the company was moving with a sense of urgency to improve its performance but acknowledged the concerns expressed by analysts about the pace of change during a conference call.

"This is not the kind of thing that I would say I sleep well at night," Thompson said.

Globally, McDonald's said comparable sales were "relatively flat" for the period. A stronger performance in the unit encompassing Asia, the Middle East and Africa helped offset a decline in Europe. For July, however, McDonald's said it expects the figure to be negative.

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